Bolton reveals performance fee terms on £630m China trust

Fidelity has revealed Anthony Bolton's China Special Situations investment trust will carry a performance fee equal to 15% of any outperformance of its NAV (excluding gearing) over the MSCI China index plus a hurdle rate of 2%.

The asset manager told investors there will also be a maximum performance fee payable in any year equal to 1.5% of NAV and any outperformance above this cap will be carried forward. If the fund underperforms the hurdle rate in any year, the underperformance must be made good before any further performance fee becomes payable in future years. Its performance fee comes on top of an AMC of 1.5% of the total NAV with 0.5% trail commission for IFAs available on ISA investments. There will be no initial charge during the IPO on ISAs but this will rise to 3.5% thereafter. Fidelity has bee...